In News:

India is now the seventh-largest coffee producer globally with exports reaching $1.29 billion in FY 2023-24, almost double the $719.42 million in 2020-21.

Historical Background

• Origin: Coffee was introduced to India in the 17th century by Baba Budan, a Sufi saint, who brought seven Mocha beans from Yemen and planted them in Baba Budan Giri hills, Karnataka.
• This act laid the foundation for India’s coffee cultivation, which has since evolved into a robust agro-industry.

India’s Global Coffee Status

• 7th largest coffee producer globally (FY 2023–24).
• Exports: Reached $1.29 billion in FY 2023–24, nearly double the $719.42 million in FY 2020–21.
• Major export destinations: Italy, Belgium, Russia.
• Export Share: Over 70% of India's coffee is exported, mostly in unroasted (green bean) form.

Types of Coffee Cultivated

• Arabica: Mild flavor, higher market value.
• Robusta: Strong flavor, more robust; often used in instant coffee.
• India's production: Around 75% is a mix of Arabica and Robusta.

Geographical Distribution

• Major Coffee-Growing Regions:
  • Karnataka: Leads with over 70% of national production (~248,020 MT in 2022–23).
  • Kerala and Tamil Nadu follow.
  • Other contributors: Andhra Pradesh, Odisha, and parts of Northeast India

• Agro-climatic Conditions:
  • Altitude: 600–1600 meters
  • Temperature: 15°C–28°C
  • Rainfall: 150–250 cm annually
  • Soil: Well-drained, loamy, rich in humus and minerals

Economic & Environmental Significance

• Coffee is largely grown in the Western and Eastern Ghats, biodiversity-rich zones with shade-grown plantations.
• These plantations:
  • Conserve ecology and biodiversity
  • Support sustainable agriculture
  • Contribute to rural livelihoods

Domestic Trends

• Rising café culture, urbanization, and higher disposable incomes have led to increased coffee consumption.
• Domestic consumption rose from 84,000 tonnes (2012) to 91,000 tonnes (2023).
• Preference for coffee over tea is growing, especially in urban and semi-urban India.

Government Initiatives

• Coffee Board of India initiatives under the Integrated Coffee Development Project (ICDP) aim to:
  • Enhance yields
  • Expand to non-traditional areas
  • Promote sustainable practices
• Araku Valley Model:
  • Involves 150,000 tribal families
  • 20% increase in production
  • Backed by Girijan Co-operative Corporation (GCC) and Integrated Tribal Development Agency (ITDA)
  • Aligned with Aatmanirbhar Bharat and rural empowerment

Current Challenges and Future Outlook

• Challenges: Climate change impacts, pest attacks, price volatility in global markets.
• Opportunities:
  • Rising global demand for value-added products (roasted & instant coffee)
  • Export incentives and improved logistics
  • Potential for agri-tourism and organic branding